Jackson Financial Incorporation (JXN) AI Stock Analysis

• Market Cap: $7.85B
• Dividend Yield: 2.98%
• Average Volume (3M): 604.65K
• Price to Earnings (P/E): 276.8
• Beta (1Y): 1.48
• Revenue Growth: 24.94%
• EPS Growth: N/A
• Country: US
• Employees: 3,060
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Life
• EPS (TTM): 6.61
• Shares Outstanding: 70,681,885
• 10 Day Avg. Volume: 787,304
• 30 Day Avg. Volume: 604,652
• PEG Ratio: -2.71
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 1.12
• P/FCF Ratio: 1.30
• Enterprise Value/Market Cap: 0.57
• Enterprise Value/Revenue: 0.67
• Enterprise Value/Gross Profit: 0.78
• Enterprise Value/Ebitda: -317.77
• 1Y Price Target: $115.25
• Price Target Upside: 3.82% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): 24.58
• Revenue Forecast (FY): $7.72B

• Rating: 58 Neutral
• Price Target: $114.00 ▲(2.69% Upside)
• Action: Downgraded Date: 02/25/26
• Date: Action: Downgraded 02/25/26

The score is held back primarily by weakened 2025 profitability and an abrupt deterioration in reported cash flow, despite a solid balance sheet. The earnings call was a meaningful offset, with raised 2026 free capital generation and capital return targets plus a dividend increase and strong capital/liquidity metrics. Technical indicators remain soft (below key moving averages with negative MACD), and valuation support is limited by a negative P/E despite a ~2.9% dividend yield.

Positive Factors

Strategic partnership / capital infusion

The TPG partnership brings a $500M equity investment, $650M of value and a multi-year $12B AUM commitment pathway, boosting asset sourcing and private-credit capabilities. This structurally expands spread-based revenue, provides capital to seed Hickory Re, and lowers reliance on volatile market funding.

Balance-sheet and capital strength

Improving debt-to-equity (~0.20) and a sizable equity base, combined with strong RBC (567%) and >$650M holding liquidity, create durable solvency and financial flexibility. This supports sustained dividends, buybacks and captive reinsurance capitalization while absorbing reserve or market shocks.

Product & distribution momentum

Record retail annuity sales, outsized RILA growth and new FIA launches show deepening distribution and product diversification toward fee- and spread-based businesses. Durable sales traction across broker/dealer channels supports stable long-term premium inflows and recurring fee income.

Negative Factors

Severe cash flow deterioration

A collapse to $0 reported operating/free cash flow in 2025 materially weakens internal capital generation and raises questions about sustainability of capital returns. It increases dependency on one-time transactions, external capital or reinsurance structures to fund dividends, buybacks and growth investments.

Profitability and margin compression

Sharp deterioration from prior high margins to near-breakeven operating profit reduces earnings quality and ROE. Compressed margins make organic capital generation fragile, forcing reliance on asset management gains or capital actions to maintain shareholder distributions and limiting reinvestment capacity.

Volatility from hedging, reserves & assumptions

Large hedge and MRB losses plus reserve and actuarial adjustments highlight high sensitivity of earnings and statutory capital to market moves and policyholder behavior. This creates recurring capital volatility, complicates multi-year planning, and can force conservative reserve or capital actions that constrain growth.

Jackson Financial Incorporation Business Overview & Revenue Model

Company Description

Jackson Financial Inc., through its subsidiaries, primarily provides a suite of annuities to retail investors in the United States. The company operates through three segments: Retail Annuities, Institutional Products, and Closed Life and Annuity Blocks. The Retail Annuities segment offers various retirement income and savings products, including variable, fixed index, fixed, and immediate payout annuities, as well as registered index-linked annuities and lifetime income solutions. The Institutional Products segment provides traditional guaranteed investment contracts; funding agreements comprising agreements issued in conjunction with its participation in the U.S. federal home loan bank program; and medium-term funding agreement-backed notes. The Closed Life and Annuity Blocks segment offers various protection products, such as whole life, universal life, variable universal life, and term life insurance products, as well as fixed, fixed index, and payout annuities. This segment also provides a block of group payout annuities. The company also offers investment management services. It sells its products through a distribution network that includes independent broker-dealers, banks and other financial institutions, wirehouses and regional broker-dealers, and independent registered investment advisors, third-party platforms, and insurance agents. Jackson Financial Inc. was formerly known as Brooke (Holdco1) Inc. and changed its name to Jackson Financial Inc. in July 2020. The company was incorporated in 2006 and is headquartered in Lansing, Michigan.

How the Company Makes Money

Jackson Financial generates revenue primarily through the sale of its annuity products and investment management services. The company earns money by charging fees on the assets it manages, which include administrative fees, mortality and expense risk charges, and surrender fees when clients withdraw funds from their contracts. Additionally, Jackson Financial benefits from the spread between the interest earned on its investments and the payouts made to policyholders. Strategic partnerships with financial advisors and brokers also enhance its distribution channels, allowing the company to reach a broader customer base and increase sales volume.

Jackson Financial Incorporation Financial Statement Overview

Summary

Mixed fundamentals: balance sheet strength is supported by improving leverage (debt-to-equity ~0.20) and sizable equity, but 2025 profitability weakened sharply (EBIT/EBITDA slightly negative; net margin ~0.4%) and reported operating/free cash flow dropped to $0, increasing sustainability and earnings-quality risk.

Income Statement

Revenue rebounded sharply in 2025 (annual revenue up ~41%), but profitability deteriorated materially: EBIT and EBITDA turned slightly negative and net margin fell to ~0.4% versus ~30% in 2024. Results have been volatile across the cycle (very strong 2021–2022, large loss in 2020), which reduces earnings quality and visibility despite strong gross profitability.

Balance Sheet

Leverage looks manageable with debt-to-equity improving to ~0.20 in 2025 (down from ~0.45 in 2024) and equity remaining sizable (~$10B). However, returns have compressed significantly (return on equity near 0.3% in 2025 vs ~9.7% in 2024), indicating weaker capital efficiency even as the capital base remains solid.

Cash Flow

Cash generation weakened sharply in 2025, with operating cash flow and free cash flow reported at $0 (down from ~$5.8B in 2024) and free cash flow growth at -100%. Prior years showed strong cash conversion (free cash flow matching net income in 2021–2024), but the 2025 drop introduces a significant sustainability and liquidity risk signal based on the provided data.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.68B	3.09B	3.17B	9.72B	5.50B
Gross Profit	5.71B	2.39B	2.47B	8.91B	4.99B
EBITDA	-14.00M	1.12B	1.07B	7.83B	4.39B
Net Income	27.00M	946.00M	934.00M	6.19B	3.42B
Balance Sheet
Total Assets	344.53B	338.45B	330.25B	314.98B	375.56B
Cash, Cash Equivalents and Short-Term Investments	5.70B	44.06B	43.11B	46.79B	54.17B
Total Debt	2.03B	4.38B	4.03B	4.37B	4.05B
Total Liabilities	334.19B	328.47B	319.92B	305.61B	364.49B
Stockholders Equity	9.95B	9.76B	10.17B	8.65B	10.39B
Cash Flow
Free Cash Flow	5.76B	5.79B	5.31B	5.21B	5.68B
Operating Cash Flow	5.76B	5.79B	5.31B	5.21B	5.68B
Investing Cash Flow	-7.76B	-7.09B	-592.00M	-1.37B	-1.30B
Financing Cash Flow	3.94B	2.37B	-6.33B	-2.16B	-3.77B

Jackson Financial Incorporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 111.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JXN, the sentiment is Positive. The current price of 111.01 is below the 20-day moving average (MA) of 114.48, below the 50-day MA of 113.56, and above the 200-day MA of 97.54, indicating a bullish trend. The MACD of -0.46 indicates Positive momentum. The RSI at 51.74 is Neutral, neither overbought nor oversold. The STOCH value of 50.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JXN.

Jackson Financial Incorporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRI	74 Outperform	$8.31B	11.22	31.83%	1.59%	5.63%	67.39%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FG	64 Neutral	$3.15B	15.25	6.05%	2.91%	-4.58%	―
LNC	63 Neutral	$6.48B	2.82	12.27%	3.93%	35.76%	636.97%
CNO	62 Neutral	$3.98B	18.11	11.12%	1.54%	-1.61%	15.79%
JXN	58 Neutral	$7.85B	276.83	0.27%	2.98%	24.94%	―
GNW	58 Neutral	$3.32B	447.44	2.86%	―	1.41%	150.35%

Jackson Financial Incorporation Corporate Events

Jackson Financial posts strong 2025 results, boosts capital returns

Jackson Financial Inc. reported its fourth-quarter and full-year 2025 results, highlighting non-GAAP earnings of $1.6 billion, non-GAAP earnings per share of $22.67 and free cash flow of $838 million, despite a GAAP net loss of $17 million, or $0.24 per share. For 2025, retail annuity sales rose 10% from 2024, the Jackson National Life Insurance Company risk-based capital ratio stood at 567%, holding company liquidity exceeded $650 million, and capital returned to shareholders reached $862 million through dividends and buybacks, while management pointed to a strategic shift toward non-variable annuity products, stronger capital generation and higher targeted capital returns in 2026 following its post-separation repositioning.

The most recent analyst rating on (JXN) stock is a Buy with a $129.00 price target. To see the full list of analyst forecasts on Jackson Financial Incorporation stock, see the JXN Stock Forecast page.

Jackson Financial and TPG Form Long-Term Strategic Partnership

On February 11, 2026, Jackson Financial Inc. closed a long-term strategic partnership with alternative asset manager TPG Inc., anchored by a $500 million common equity investment from TPG in exchange for 4,715,554 Jackson shares, or about 6.5% of the company. As part of the deal, a Jackson subsidiary received 2,279,109 TPG Class A shares, and the firms entered a 10-year, renewable investment management arrangement under which TPG will provide investment-grade asset-based finance and direct lending capabilities to complement PPM America, aiming to accelerate Jackson’s spread-based growth strategy, broaden product innovation and enhance long-term value for clients and shareholders.

Management from both companies framed the partnership as a culturally aligned collaboration that marries TPG’s credit and structuring expertise with Jackson’s position as a leading retirement services provider. For Jackson, the transaction is expected to bolster competitiveness in meeting demand for consumer value-oriented products and to provide capital and asset-management flexibility, while TPG gains expanded scale for its credit and insurance strategies and deeper access to insurance-related investment flows.

The most recent analyst rating on (JXN) stock is a Buy with a $129.00 price target. To see the full list of analyst forecasts on Jackson Financial Incorporation stock, see the JXN Stock Forecast page.

Jackson Financial Forms Strategic Partnership with TPG Inc.

On January 5, 2026, Jackson Financial Inc. entered into a long-term strategic partnership and investment agreement with global alternative asset manager TPG Inc., under which TPG will acquire approximately 6.5% of Jackson’s common equity for $500 million in cash, subject to a 9.9% ownership cap and multi-year holding and sale restrictions designed to stabilize the shareholder base and align interests. The proceeds, combined with $150 million of Jackson’s excess cash, will capitalize Hickory Brooke Reinsurance Company, a new Michigan-based captive reinsurer set up to support capital-efficient growth in Jackson’s fixed and fixed index annuity sales, while Jackson will also receive $150 million of TPG common stock and enter non-exclusive, 10-year-plus investment management arrangements that target $12 billion of general account assets under TPG’s management over five years, enhancing Jackson’s private credit and asset-based finance capabilities, diversifying earnings, and reinforcing its competitive position in U.S. retirement services; the transaction is expected to close in the first quarter of 2026, subject to customary conditions.

The most recent analyst rating on (JXN) stock is a Hold with a $118.00 price target. To see the full list of analyst forecasts on Jackson Financial Incorporation stock, see the JXN Stock Forecast page.